Oracle planning another layoff wave in September? Managers asked to 'prepare lists'

Oracle managers have reportedly been asked to identify employees for possible layoffs before September. The move comes as the company balances deep job cuts with massive spending on AI infrastructure.Oracle planning another layoff wave in September? Managers asked to 'prepare lists'Another round of layoffs could be coming at Oracle, with the company reportedly asking managers to identify employees whose roles could be eliminated before September 1. The potential cuts would come on top of the roughly 21,000 jobs Oracle eliminated during fiscal 2026.According to Business Insider, Oracle has asked managers to identify employees who could be included in the latest reductions, with some teams potentially facing cuts in the double-digit percentages. The reported layoffs are expected to be implemented before the company’s second fiscal quarter begins on September 1. Oracle has not publicly confirmed the reported cuts.The potential layoffs would follow a major workforce reduction carried out during fiscal 2026. Oracle’s annual filing showed that the company had approximately 141,000 full-time employees as of May 31, 2026. Its workforce declined by roughly 21,000 employees, or about 13%, over the previous year.The latest reported cuts suggest Oracle is continuing to restructure its workforce even as it expands aggressively in the cloud and AI markets. ORACLE’S AI BET COMES WITH BILLIONS IN SPENDINGOracle is investing heavily to meet surging demand for AI computing capacity. The company invested approximately USD 55.7 billion in capital expenditures during fiscal 2026 to expand its cloud infrastructure.Oracle also raised USD 43 billion in debt financing and expects to raise another USD 40 billion through debt and equity in fiscal 2027. The investment reflects Oracle’s push to strengthen its position in the fast-growing AI infrastructure market. Its cloud business continues to benefit from strong demand, with total cloud revenue rising 39 percent and cloud infrastructure revenue increasing 77 percent year over year in fiscal 2026.However, the scale of spending and financing has raised investor concerns, particularly as Oracle’s heavy capital investments have pushed free cash flow into negative territory.RESTRUCTURING COSTS JUMPOracle’s restructuring expenses also increased sharply during fiscal 2026.According to the company’s annual filing, Oracle recorded USD 1.84 billion in restructuring and other expenses in fiscal 2026, compared with USD 374 million in fiscal 2025. The restructuring expenses included employee severance costs associated with Oracle’s fiscal 2026 restructuring plan.The latest reported layoffs underline the challenge facing Oracle: cutting costs and reshaping its workforce while continuing to spend heavily on the AI infrastructure needed to compete in one of the technology industry’s fastest-growing markets.Oracle’s cloud business is growing rapidly, but the company is simultaneously taking on substantial financing needs to fund its infrastructure expansion. The combination of workforce reductions, higher restructuring expenses and massive AI infrastructure investment highlights the difficult balance Oracle is trying to strike between controlling costs today and building capacity for future cloud and AI demand.- EndsPublished By: Apoorva AnandPublished On: Aug 12, 2026 12:12 IST